all 175 comments

[–]132141 664 points665 points  (19 children)

Wow, don't know why people are reacting poorly to this! Different "tricks" work for different people and this is a cool idea!

[–]Ticonix 159 points160 points  (8 children)

Mine is called 'micro fuck you money' - still partially an 'emergency' fund but I don't think about money in a defensive stance.

[–]MicroBadger_ 19 points20 points  (1 child)

The fuck Murphy fund.

[–]milfshakes 0 points1 point  (0 children)

As in Murphy’s law... nice (:

[–]unclestrugglesnuggle 15 points16 points  (1 child)

It’s just “fuck you money” at a certain point.

If you save solidly with respect to your retirement accounts and emergency fund and live well below your means, having a 12-month safety net is much more than a defensive tool.

Company restructures and you get put in a division that is spiraling downward? No sweat. Brush up your resume and interview knowing if the worst happens you will be alright.

New boss is a micro-managing prick? Same deal. If things get bad enough, you can just walk - right then and there.

You don’t have to be independently wealthy or be ready to retire at 35 to have enough money to be able to say “fuck it,” or “fuck you.”

It’s one of the most freeing feelings in the world.

[–]Ticonix 1 point2 points  (0 children)

Yeah - once you save to a point that's all there is left. In fact some 'emergencies' I had this past year were able to be covered by normal accounts because I do save, meaning the idea the money was there was good enough for me to be thin for another week or two to reestablish normal cash flow parameters.

Edit: plus the adoption of a more minimalist mindset makes you realize you don't even need that much to begin with.

[–]dajesus77 2 points3 points  (1 child)

Micro fuck you money doesnt have the same ring to it.

[–]savvyblackbird 1 point2 points  (0 children)

Yeah, Macro sounds much better

[–]120psi 0 points1 point  (0 children)

I prefer to call my retirement savings my "fuck work" fund.

[–]Kalliope25 54 points55 points  (7 children)

I think our grandparents used to call it a rainy day fund. Whatever works, right?

[–]billbixbyakahulk 19 points20 points  (6 children)

When I was kid I was confused by the term because I loved rainy days. "Are we saving up for ice cream when it rains??!"

[–]BefWithAnF 1 point2 points  (5 children)

Me too! I wondered why we needed to spend extra money on a rainy day.

[–]juvenescence 15 points16 points  (3 children)

Because when it rains it pours.

[–]theoriginaldandan 1 point2 points  (0 children)

Underrated comment of the day

[–]30000LBS_Of_Bananas 0 points1 point  (1 child)

So you will have enough money to buy salt?

[–]Medipack 0 points1 point  (0 children)

You don't buy salt for rain, silly.

[–]Raider7oh7 3 points4 points  (0 children)

I always thought it was veces of manual labor jobs don't work during rain, so you have extra money saved for rainy days when you are not getting paid

[–]billbixbyakahulk 27 points28 points  (0 children)

I work in IT and occasionally do staff training. One thing I've learned is that for most people, they're not receptive to new ideas or habits unless they're emotionally comfortable with it. That starts with them being emotionally comfortable with me.

I bring a bowl of chocolates, make small talk, thank people or say something complimentary to those asking questions ("I'm glad you asked that because"), etc.

So if calling it a "Freedom Fund" is more effective with aligning their emotions with positive habits, then call it a Freedom Fund.

[–]SKRIMP-N-GRITZ 9 points10 points  (0 children)

I have to admit I clicked because I wanted to see the snarky comments I knew would be here. I agree that whatever gets s person to have an emergency fund is what’s important, but sadly the word freedom has been so used as propaganda it’s now low hanging fruit.

[–]Nosdo3 304 points305 points  (53 children)

I prefer to call it the fuck off fund. While almost always unadvisable to leave a job before locking down a new one, knowing you could if you so choose is pretty liberating, also allows you to be more honest in your dealings with your company, which can net promotions and other advancement if your contribution has value and is recognized.

[–]blackbirdblue 152 points153 points  (30 children)

I feel like Fuck You money is what you save once you've got a fully funded Emergency fund.

[–]dumbledorethegrey 55 points56 points  (23 children)

I think this is true. Technically I saved up a year's worth of expenses in my emergency fund, which I define as the funds needed for a basic level of subsistence + payment of mandatory bills like my mortgage and electricity, a year ago.

Since then I've been trying to save up enough to live on for a year at my current level of comfort (nice Internet plan, trips, eating out occasionally, and some other nice things). With this, I could lose my job or quit outright and be good for a year. Or I could subsist for about two years.

It's a very nice feeling. Now I just need to shake the thoughts of "Is it really enough, or should I put more in there?"

Edit : This blew up a bit. FYI, most of my money is currently in a "high interest" savings account. My path forward is to divert some of that money into a CD and then going forward to bump up my 401K contributions to max, which I did the other day.

[–]Pr0misedland 38 points39 points  (1 child)

Its really enough. Anything over 1 year in your emergency fund is too much imo. Your emergency fund is not an investment, its insurance. Any funds over 1 year worth of expenses should be invested for FIRE/RE. Your emergency fund return should be in a safe vehicle which probably doesn't beat inflation. You're losing money making opportunities by not investing anything over 6months/1 year expenses.

[–]dumbledorethegrey 1 point2 points  (0 children)

I'm treating it like insurance. At this level I can pretty much immediately focus on finding a new job if I have to, or paying that emergency bill, not on which regular but luxury bills I need to cut out. I'll definitely start thinking about that down the line if I have to but need not do so right away.

[–]dave8114 20 points21 points  (9 children)

That seems like an awful lot of money to be sitting in a cash account

[–]billbixbyakahulk 8 points9 points  (5 children)

I think for a majority of people the 6 -12 month amount is sound advice. The 12 month amount makes more sense for people in high cost of living areas.

Once one's asset base is sufficiently large (some subjectivity here, but I would say single-no dependents net worth in liquid assets at a minimum 100k, so excluding house and vehicle, but including stocks and retirement accounts), it's reasonable to put that money to work in low or medium risk investments understanding that enough money would still remain after a significant market downturn to cover 6 - 12 months expenses and the possible withdrawal penalties. If one is realistic about those factors, I don't feel they're exposing themselves to excessive risk.

The problem is that many people aren't realistic and also ignore the "when it rains, it pours" scenarios. A stock market crash often results in layoffs. Losing half your portfolio value and then getting laid off is a double whammy most people are not prepared for. Especially in this goldilocks AF bull run, people forget. Hence, we arrive back at the original advice of 6 - 12 months.

[–]dumbledorethegrey 0 points1 point  (1 child)

I'm in a HCOL state. Luckily not a San Fran type situation but it does get close.

[–]billbixbyakahulk 4 points5 points  (0 children)

I'm in a San Fran type situation. :-)

[–]swifter_than_shadow 0 points1 point  (2 children)

Wouldn't 6 months or even less make more sense in a high cost of living area? If your monthly expenses are $5k in Des Moines but $10k in san Francisco, then a year's fund means a lot more money being bitch slapped by inflation. Plus there's usually more job opportunities in higher COL areas so your worst case scenario isn't as bad.

[–]billbixbyakahulk 0 points1 point  (1 child)

That's my generic advice for people with a low NW or nothing, partially because I've seen three people get forced out of their RC apartments in the last year. Suddenly they were in a situation of having to pay a minimum of double their previous rent and needing first/last/deposit. So if their EF was based on six months at their RC rent, you can see why they'd be instantly wiped out.

As for inflation, it can be partially offset in a high yield savings account. Obviously a lousy return, but enough of an offset that I think the security argument beats the inflation argument.

Having gone broke and built back up from nothing, I tend to err on the side of caution. I guess the thousands in tent cities all around town also might have something to do with it.

[–]swifter_than_shadow 0 points1 point  (0 children)

Sounds like a rather specific scenario, but within those bounds, yeah, that makes sense. I plan my emergency fund on an average-ish rent expectation ($1500-2000 ish where I live).

I tend to err on the side of caution

That's the main thing it comes down to I guess; risk tolerance.

[–]Wohholyhell 3 points4 points  (0 children)

The reason you have it sitting in a cash account is called liquidity.

[–]dumbledorethegrey 1 point2 points  (0 children)

It's in a "high interest" savings account. I know all the arguments about those interest rates not even meeting inflation but at least it is doing something, and I plan to put some of it in a CD.

[–]feng_huang 1 point2 points  (0 children)

Use it to buy several CDs in equal amounts that mature monthly, in sequence. As they mature, roll them over into new ones.

[–]Wohholyhell 2 points3 points  (10 children)

I'm of the opinion that you NEVER regret later putting more money away for yourself now.

[–]General-Dash 11 points12 points  (9 children)

You may not regret it, but that doesn’t mean it’s right. All that cash is losing value. I’m sure it feels nice to have it, but more than 6 months is kind of a waist. At least put some of it in a CD or something, get some kind of return.

[–]billbixbyakahulk 4 points5 points  (2 children)

If rolling CDs is feasible that might be an option, but CDs are offering terrible returns. In a more normal interest rate environment (which some young investors have never even seen), I would agree completely. But I question whether the current minuscule returns of short-term CDs are worth the hassle of early withdrawal.

[–]General-Dash 2 points3 points  (1 child)

I wasn’t suggesting a CD, i was saying he needs to get some kind of a return. A CD is, at a minimum, better than a stockpile of cash. My only point was that more than 6 months worth of living expenses in cash is generally unnecessary.

[–]billbixbyakahulk 2 points3 points  (0 children)

The suggestion to have an emergency fund falls under general advice, so of course, there are going to be many relevant exceptions.

I live in a very high COL area, for example. We have rent control but a serious supply shortage. Many of my peers are getting forced out of their RC apartments "one way or the other", and suddenly seeing their rent double overnight (or worse). First, last and deposit can easily wipe out the bulk of that money.

[–]Wohholyhell 1 point2 points  (2 children)

I never said to just dump it into the sock drawer, CD's are fine, Money Market accounts are fine, my point is you want it easily accessed. Like r/billbixbyakahulk said in his/her post, a crash of the stock market makes it really painful and ugly to have to pull money out of an investment while it's plummeting.

[–]dumbledorethegrey 2 points3 points  (1 child)

This is my concern. The recession generally didn't hit my region as bad as some others, but I've always had that worry for future recessions, which has influenced my savings plan.

[–]Wohholyhell 1 point2 points  (0 children)

I've been through two recessions, so this is where I -learned-about having easily accessed liquid resources available. TL;DR Hope I never have to sell stocks at the bottom again because I was all NO! NEVER WASTE POTENTIAL INTEREST! INVEST EVERYTHING! Aaaaaaaaaaand then lost my jerb.

[–]dumbledorethegrey 0 points1 point  (2 children)

It's in a "high interest" account now and my plan is to put a portion of it in a CD.

[–]swifter_than_shadow 0 points1 point  (1 child)

Mind sharing which account?

I was looking at consumer credit union, about 4.5%, but the requirements are so obnoxious it's not really worth it.

[–]dumbledorethegrey 0 points1 point  (0 children)

Just Ally. I know some others are a bit higher now, and like you say there are some 4.5-5% accounts out there. I'd consider switching to another one of the Ally-type accounts but like you I don't consider it worth my time to fulfill all the reqs for 5%.

[–]SoggyMcmufffinns 5 points6 points  (0 children)

For me it's "fuck you" money. I know I can find another job within the timeframe of my current efund. Currently my employer is great and I doubt I'll really have to use it for quite a long time, but it's there. I don't really see much of a difference between using an efund for when you get laid off or fired to if you quit. I don't base my funding based with govt assistance in mind as who knows. Instead, I just base it off what I know is a good number in my field to find another job.

[–]backinohio 2 points3 points  (0 children)

This actually motivates me to save more. I’ve been putting money away for emergencies, but I want to get to the point where I have fuck you money.

[–]Kotanaru 7 points8 points  (2 children)

Fuck you money is money that is so disposable, you can use it to spite somebody or completely avoid something you don't want to do. /u/Nosdo3's fuck off fund is more "I can leave this job and be fine".

[–]estryshak 4 points5 points  (0 children)

I don't think disposable is necessarily true. While it could be the usage, you could hit your retirement goal but still.enjoy your job so you continue to work. One day your boss tries to get you to do something ridiculous and you say "fuck you I'm quitting"

[–]DevChatt[S] 13 points14 points  (5 children)

Exactly. I am actually somewhat running into this issue with work now when I was promised a role change but due to poor company performance in 2017 was not able to do so.

At this point I have the “freedom” saved where I can live with my same paycheck for 3 Months but probably go even more frugal with entertainment and others to make it 6 -8 months easily.

Although what I’m probably gonna do is stick with my current role since I work from Home and utilize that time to look at other firms while still getting a paycheck and beefing things in savings further so I have more “freedom”

[–]TBoneBaggetteBaggins 0 points1 point  (0 children)

What is your gripe?

[–]ibuprofen87 -5 points-4 points  (2 children)

For me it doesn't make sense to keep a "freedom fund". As it doesn't need to be immediately liquid, I'd rather invest all savings and liquidate if the need arises.

[–]Pr0misedland 10 points11 points  (1 child)

This is a legit strategy but you have to be ok with a 20% loss if the market turns downward.

[–]ibuprofen87 0 points1 point  (0 children)

Right. But you should have your investments appropriately diversified for your age and risk tolerance. The emergency fund covers you in the short term.

[–]billbixbyakahulk -1 points0 points  (0 children)

My experience might be anecdotal but what I'm sensing is companies are laying off remote workers before onsite workers. I think mainly due to the human factor. They get to know onsite workers so there's a bigger emotional toll in letting people go. Likewise, the disappearance of an onsite worker has a bigger impact on morale, whereas remote workers are more easily forgotten.

[–]bigpooterpants 5 points6 points  (1 child)

Yes! I read this article and it inspired me to do the same. Way more liberating to think about it that way for me.

[–]DevChatt[S] 1 point2 points  (0 children)

This article is amazing.

I’m going to show this to my significant other as a reason to inherently save and reasons why so.

[–]_ansyn37 1 point2 points  (0 children)

I didn't call it this but I had a fuck you fund for my last job. Glad I did too because the past six months have been a breath of fresh air

[–]mijojojo 1 point2 points  (0 children)

Fuck Off Find applies to relationships too. One is much more inclined to leave a crappy relationship (or an abusive one) when you have money in the bank to rent an apartment and begin disentangling from an ex partner.

[–]creamersrealm 0 points1 point  (10 children)

Now if only Ally would let me name my savings account.

[–]Closed_System 0 points1 point  (0 children)

Ally will let you name it. If you're on the browser site, just go to account details, and at the top where it says "Online Savings Account", right next to it it should say "edit nickname".

[–]rabev 0 points1 point  (8 children)

They do! I have six with different names.

[–]creamersrealm 0 points1 point  (0 children)

Thanks for the tip. I had to use a laptop to set it.

[–]DetroitEXP 0 points1 point  (6 children)

Curious, why do you have six?

[–]rabev 0 points1 point  (5 children)

Different goals: travel, vehicle, gifts etc. I like to contribute a set amount to each account every time I get paid. Automatic of course. That way I’m prepared for my insurance payment every six months, gifts throughout the year, etc.

[–]DetroitEXP 0 points1 point  (2 children)

That's really smart. How does that work out for you?

[–]rabev 0 points1 point  (1 child)

Really well! I save without thinking about it and reduced the stress of being unprepared for expenses. You should try it if you use a bank that allows you to open multiple savings accounts.

[–]DetroitEXP 0 points1 point  (0 children)

I actually have an American Express HYS. They let me open up a bunch and they all have 1.35% which is awesome.

[–]swifter_than_shadow 0 points1 point  (1 child)

What's your time horizon for putting things into a savings account rather than investments?

[–]rabev 0 points1 point  (0 children)

These are short-term savings and not worth investing. I withdraw from them throughout the year and have set them up so that I don’t “feel” the financial impact of a relatively large purchase that isn’t included in my biweekly budget all at once. For example: my travel savings or insurance savings.

[–]acer5886 0 points1 point  (0 children)

Yeah I've been in the position more than once to need to do this for my health and sanity and didn't because I knew financially it would destroy my finances in a bad job market.

[–]byex0039 40 points41 points  (3 children)

When you get ready to start investing, you'll love Fidelity then.

[–]Natty4Life420Blazeit 2 points3 points  (1 child)


[–]byex0039 8 points9 points  (0 children)

My attempt at humor. Fidelity's target date funds are branded with 'Freedom' in their name.

[–]ZenMercenary 27 points28 points  (1 child)

Congrats! One of the things I believe is lost on many personal finance gurus is the role that human psychology plays in all of this. So often I see people focusing on rigid rules about how things should be done to maximize every penny, but the struggle most people have with personal finance is on a psychological level.

If a simple name change or reference change on your savings accounts helps, then you're doing the right thing. I actually have several savings accounts and I assign them all a name and purpose. Gifts, vacation, home maintenance, etc. I love filling them up at every paycheck and the feeling of knowing that I'm working toward something.

Also, as awesome as it feels to contribute to a "Freedom Fund," imagine the feeling you will have withdrawing from it. Most of us can rationalize anything as an emergency, but when you start dipping into your freedom fund, that has to kinda feel like you're robbing from your freedom, eh?

I like it!

[–]WorkinForThaWeekend 1 point2 points  (0 children)

Totally agree. Like the avalanche v snowball thing. I know avalanche saves more money overall in theory, but if snowball motivates you more to pay toward your debt then it could end up saving you more. There's been studies to confirm this, but so many people online I've seen have written it off because "math".

[–]jumperalex 40 points41 points  (10 children)

I can't find the link but many many years ago, in what I would call my first real moment of "financial clarity" I ran across an article by a woman that talked about saving for expected, recurring, but non-monthly expenses, and expected, non-recurring, expenses, and keeping that money in a high-yield savings account.

The article called that fund a "Freedom Fund" and it offered a spreadsheet template to help get started. I used that method for quite a number of years and even turned my SO on to it. It was instrumental in my journey towards YNAB, then Bogleheads, and finally the FIRE mindset.

So yeah, Freedom Fund is a perfect name for an emergency fun because one of the purposes is to handle those expected, but non-recurring expenses that can crush you if you're not prepared for them.

[–]b__reddit 2 points3 points  (8 children)

What is the FIRE mindset?

[–]papayafruitz 16 points17 points  (1 child)

FIRE (or FI/ER) stands for financial independence/early retirement. You live beneath your means, invest the money you save, until your passive income from the investments is equal to or greater than your living expenses. Then you may or may not retire. Up to you. /r/financialindependence

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[–]25happygirl101 9 points10 points  (0 children)

I call mine the "Fuck this Shit Fund". My parents taught me to always take a little money out of each paycheck to store away so that if I ever found myself in a bad situation I'd have the funds to leave.

[–]AllAboutChristmasEve 36 points37 points  (1 child)

I find "emergency fund" to be plenty motivating, but I'm a belt-and-suspenders guy.

[–]ennuinerdog 1 point2 points  (0 children)

Belt, suspenders and overalls.

[–]parsnip92 8 points9 points  (1 child)

if an emergency does not happen, when my cash reserves reach a tipping point, it becomes a "Quit My Job and Travel the World" fund. Well worth holding off mall shopping for a couple of years.

[–]Marklar_the_Darklar 0 points1 point  (0 children)

The "bug out bank account"

[–]gluteusminimus 8 points9 points  (0 children)

Initially, I thought, "Man, it's a bit sad you have to work so hard to convince yourself to build an emergency fund," but then you explained why you call it that. It's fucking great, and people would probably be more inclined to save money if they saw things from that perspective.

Keep doing you.

[–]drunkendrake 9 points10 points  (1 child)

I just thought you were creating a fund in case you had to invade another country.

[–]swifter_than_shadow 0 points1 point  (0 children)

I'm doing that! By proxy anyway.

A lot of my emergency fund is in US bonds lol

[–]Lolanew 7 points8 points  (0 children)

Thank you! This had a huge emotional response from me. Forevermore I will have a Freedom Fund/Don't Worry Fund.

[–]c-c-calamity 6 points7 points  (1 child)

I call mine a "Fuck You" fund, lol, because whenever someone tries to pressure me into doing something that I'm not cool with -- like working for a horrible boss, dating an abusive asshole just because he can pay my mortgage, getting into a ridiculously risky, high interest car loan -- I can just go "fuck you, I don't need to take this, I'll be fine." :)

[–]gnikzilgnikzil 2 points3 points  (0 children)

I call it my finger fund for if I need to give my boss the finger!

[–]Harry_and_Sally 5 points6 points  (0 children)

Yea man, as always, whatever actually works to motivate a person to meet an objective is best. Never be afraid to change systems so they work for you!

[–]Ohohohohahahehe 4 points5 points  (0 children)

As a red blooded American, I endorse this message.

[–]CranberrySoda 20 points21 points  (0 children)

I call mine, my ICE fund. I also have a TIFU category in YNAB which is for mini emergencies (normally of my own making). I see my investments as Freedom Funds,as they are what I’m counting on to FIRE.

It’s ok that we all have different things that motivate us!

[–]zeus-indy 39 points40 points  (2 children)

It's like feeling better about eating French fries by calling them freedom fries.

[–]ennuinerdog 1 point2 points  (0 children)

Fries are a Belgian invention anyway.

[–]RN_Geo 1 point2 points  (0 children)

I was trying to come up with some sort of freedom fries quip, you did nicely.

[–]triggoon 13 points14 points  (0 children)

Whatever works for someone to save and protect themselves from unexpected expenses.

My wife and I do something similar. We are constantly making “funds”. After a successful emergency fund I made a “walk away from a job” fund in case our jobs were really bad. Afterwards it was “better house” fund and so on.

For us we needed short term, specific fun goals within the larger picture. We still have an overarching plan but have broken it down into very specific parts. Most funds now we create are to make our retirement easier and sooner but again I encourage people to give specific reason to their savings. Generic, large goals are not always easy for people to wrap their heads around but smaller goals might help plus you get a win more often.

Everyone is different though so think about how you most easily accomplish a big goal and do it for your finances.

[–]redlitch81 3 points4 points  (0 children)

I’m sorry this is the best advice I’ve ever gotten on here.

I totally see what OP is getting at and I’m going to adopt this terminology.

[–]Not_Just_Any_Lurker 2 points3 points  (1 child)

I call mine “bail out” money. Just in case one day I finally snap and end up in jail or something. Or need to leave the country or something.

[–]Asshole_Engineer 5 points6 points  (0 children)

And that kind of money is not in a bank.

[–]RedFiveSW 2 points3 points  (0 children)

We have an emergency fund and a discretionary fund, used to build a bank for vacations, eating out, or other non-essentials. Basically non-bills, unexpected and expected, are in two separate funds.

[–]sunbro29 2 points3 points  (0 children)

I mean, it really is a freedom fund. You're not playing a trick on yourself or a mind game. Anyone who has had an emergency without the sufficient funds to cover it knows this.

[–]Vloxxity 2 points3 points  (0 children)




even works in german:




[–]Collin_b_ballin 5 points6 points  (0 children)

Whatever you gotta tell yourself

[–]Switters410 1 point2 points  (1 child)

Mine is called the “fuck it fund.” If i get sick of the rat race, i can get by for quite awhile after saying “fuck it.”

[–]thisisnotmyname17 1 point2 points  (0 children)

That makes me so much happier about ours too!!! I can be inspired to pass up things for freedom!!

[–]jimibulgin 1 point2 points  (0 children)

Cash is like the bumper on your car. It can be unexpectedly wiped out, but you are safe behind it.

[–]InfamousMedusa 1 point2 points  (0 children)

Similar: my job changed "disability" insurance to "income protection" and our participation rates skyrocketed.

whatever tricks you into responsibility, I guess

[–]lysergic_gandalf_666 1 point2 points  (0 children)

Fuck yeah. This is actually a good plan.

I am CHEAP as hell and save a LOT. Most people would think this is really sad. Why not go buy a Mercedes? I'll tell you why: if I save my money and live cheaply then I am basically RICH and can do anything I want for years at a time.

If I am a chump and buy new Mercedes and a big mansion then I am a slave living paycheck to paycheck (at best).

[–]coryrain 1 point2 points  (0 children)

The husband and I have always called it the Oh SHIT! money. It works for us! Whatever works for you go for it. The definition of an emergency is different for everyone. Sometimes needing that new video game is an emergency! By calling it the oh shit money it really helped us with determining what kind of situation we needed to use it for. Flat tire on the side of the highway during rush hour is an oh shit moment. The oven died two days before Thanksgiving? Oh shit. You get the idea.

[–]chamomiledrinker 1 point2 points  (0 children)

I call mine the Peace of Mind account. When I called it an emergency fund my anxiety and imagination ran wild about huge emergencies. Every time I checked my account I'd come up with some emergency scenario that it wasn't enough to cover.

The Art of Money inspired me to rename and it's helped.

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    [–]PaxilonHydrochlorate[M] 1 point2 points  (0 children)

    Your comment has been removed because we don't allow political discussions, political baiting, or soapboxing (rule 6).

    [–]Happy0vi 0 points1 point  (0 children)

    I love this idea, it’ll work well for me since I don’t like the word emergency

    [–]justcam 0 points1 point  (0 children)

    I like it! Better than all of it the other pessimistic thoughts we normally think of on a daily basis.

    [–]Cozy_Conditioning 0 points1 point  (0 children)

    It's my "retire to X" fund. The idea being, if I retired today, withdrawing 4% per year (which is considered a "safe" rate on a 75%/25% fund), where could I afford to live?

    I'm up from India to, now, the Midwest :-)

    [–]billbixbyakahulk 0 points1 point  (0 children)

    If you use Fidelity, you can create nicknames for your accounts. Freedom Fund sounds good. Mine is called "Phat Stax 4 dayz"

    [–]CYBRFRK 0 points1 point  (0 children)

    Mine is called “Torrential Downpour Fund”, at least on my high yield savings account alias name.

    [–]backinohio 0 points1 point  (0 children)

    Mine is called the “oh shit” fund. Unexpected problem comes up and costs $500? Oh, shit. But I got that.

    [–]dengmar 0 points1 point  (0 children)

    I call mine a Rainy Day Fund. Great idea man

    [–]Orumpled 0 points1 point  (0 children)

    Mine was set up under “eat shit or die fund” as my boss was either going to tell me to do it or I was going to tell her. To this day the financial advisor asks “so how much is in the ES&D fund?” (Left shortly after setting up fund).

    [–]Oneandonlymightyduck 0 points1 point  (0 children)

    Much of life and finance is about perspective. Do not say "I cannot afford that" but rather, "how can I afford that?" -Rich Dad Poor Dad

    [–]PhotonTrance 0 points1 point  (0 children)

    Options fund. As in it puts me in-control of my life, it gives me options other than going into debt.

    [–]dethmaul 0 points1 point  (0 children)


    I'd love putting 1.05 in it every time i walked past it.

    [–]YeaYeaImGoin 0 points1 point  (0 children)

    Does your new fund drop bombs on people with oil?

    [–]kinginthenorth1604 0 points1 point  (0 children)

    Oh, I have two accounts with Chase. They are called Freedom and Freedom Unlimited. Both are credit card accounts. I know, the irony. :D

    On a serious note, you are doing great. Call it whatever you want. As long as it works for you, keep it going!!!

    [–]Sp4ni3l 0 points1 point  (0 children)

    I always called it my bag of “fuck you” money. It gives the possibility to walk up to your boss and say “FUCK YOU!”. It makes me take better decisions and perform better at work. You can focus on delivering instead of focussing on preventing to get fired.

    [–]enginerd12 0 points1 point  (0 children)

    I like to consider my emergency fund as a "line of credit" with 0% interest where I'm continuously increasing my credit limit.

    [–]pgh_ski 0 points1 point  (0 children)

    Brilliant! That's a great way to think of it. It's insurance so you don't have to go into debt!

    [–]heartfelt24 0 points1 point  (0 children)

    I like this idea since I never have any emergencies I will dip into my funds for. Accidents are covered for, and in the worst case scenario I am very open to leeching off my parents (and vice versa). I prefer investing to putting money in my cash accounts. Still built up 3 months of a fund. And the mutual funds are open ended, so I can redeem if lightning strikes.

    [–]ClosertothesunNA 0 points1 point  (0 children)

    I like this quote from this article: There are many things money can buy, but the most valuable of all is freedom. Freedom to do what you want and work for whom you respect.

    [–]UndercoverGovernor 0 points1 point  (0 children)

    That’s like me with French fries

    [–]YouNeedAnne 0 points1 point  (0 children)

    Are you American, by any chance?

    [–]PloppyMans 0 points1 point  (0 children)

    A fair point. Stuff happens a bit too regularly for it to be an emergency. The fund is there so it’s not.

    House issues, medical issues, car issues, etc etc. I would really expect these emergencies to be happening less often!

    [–]OllysCoding 0 points1 point  (0 children)

    This is definitely a good approach, looking at it more like a fund which gives you the freedom to make changes in your life, rather than one in preparation for when your life goes down the shitter. I guess for me the other problem is that atleast when starting, it feels like you're taking all this money, and just leaving it, you can't spend it, you never want to have to use it, so it effectively feels like you are just wasting part of your income. However using your freedom fund name, makes it feels more like you're saving money for something, rather than just watching waste away hoping you never have to use it, nice idea!

    [–]NotRoryWilliams 0 points1 point  (0 children)

    I'm in a weird situation with regard to an emergency fund: my income is very irregular so whereas most of you only have a job loss to think about causing a period without income, it's a regular thing for me so at any moment I may know that I have a ton of money "coming in" but no idea when. Like for instance right now I have $28,000 in known fees that I should be receiving in the next month or two and $15,000 in "expected" fees (cases I've completed and would be very surprised if I didn't win), but my bank account is damn near empty.

    I have to admit that I was a little foolish in deciding to play with my small savings in the currency market. I came out ahead, gaining more than 50% of my original investment, but a problem occurred with the exchange and now my withdrawal is delayed. Meanwhile I saw how much money I had coming in and figured that "savings" transfer was just a day or two out, so I cleaned out my checking account paying off credit cards so I didn't carry a balance and pay interest, and paid another $1000 off on an old debt to save some interest. Big mistake, I ended up coming close to an overdraft and had to ask a client who always offers advance payment (and I always refuse) to follow through on his offer of advance payment. Now I'm "good" through the end of the month but have to put off some small planned purchases.

    So at this point when the money does come in I'm going to set six months worth aside in my savings (about $18,000) even though I have more than enough debt to easily justify disbursing it all at once. Then I'll work on staying six months out in my buffer and apply every surplus dollar besides that to debt reduction and eventually savings.

    [–]spicklesandwich 0 points1 point  (0 children)

    I like it.

    Though for me, I like 'Emergency Fund' for that purpose specifically. It reminds me that emergencies aren't things that happen to other people, it reminds me what is and isn't an emergency (is it forseeable? Can you plan for it? If not, can you prepare for it? ...), and as someone who worries about not worrying enough, (haha) it's actually pretty soothing. I dunno. I guess it makes me feel like I'm 'overpreparing' which I like to do in general, even if an EF is actually just prudent, common sense.

    Like I feel like I'm being smart when I think of it that way, and that keeps me motivated to do it. Whatever works, you know?

    [–]yes_its_him -4 points-3 points  (0 children)

    I'd take the other side of this discussion, even though I know what you are saying here.

    People need to have a strategy to reduce risks, including maintaining savings and insurance, and also including not doing stupid things.

    If you are scared (or otherwise in denial) to think that something bad might happen and so you want to change the way you talk about things to accommodate that, that's not really being in tune with what you need to worry about.